Travel Insurance Statistics 2024

Wanderlust has hit many Americans, with this year promising to be an even busier travel year than 2023.

More than one in three Americans (40%) say they plan to travel more this year than they did last year¹, according to a Forbes Advisor survey of 1,000 Americans with travel plans on the docket for 2024.

And while most travelers carefully plan flights, car rentals and sights to see, many don’t prepare for potential complications like air travel disruptions or medical emergencies.

While some airlines offer flight delay compensation, there may be costs you incur that aren’t covered in full. If you’re worried about losing your investment on an amazing trip you’ve planned, travel insurance is a smart investment.

To help Americans prepare for upcoming travel, Forbes Advisor analyzed the latest available data to uncover the most common travel disruptions, top traveler concerns, and destinations where travelers are most likely to encounter travel problems.

Travel Insurance Statistics at a Glance

• Between 2020 and 2022, Americans spent nearly $4.27 billion on all types of travel protection.³
• About 77 million people were protected by more than 49.3 million travel insurance plans in 2022, up 10.7% from 2021.³
• In 2023, 21.8% of all flights were disrupted. This includes² :
  • 1.39 million delayed flights (20.3% of flights)
  • 87,943 canceled flights (1.3% of flights)
  • 16,552 diverted flights (0.2% of flights)
• The top three concerns for travelers in 2024 are as follows⁴:
  • Medical emergencies (59.8%)
  • Needing to cancel a trip for an unforeseen reason (31.2%)
  • Lengthy travel delays (5.7%)
• Caracas, Venezuela tops the list of most dangerous cities to visit based on crime index rankings, followed by Pretoria, South Africa; Durban, South Africa; Johannesburg, South Africa; and Port Moresby, Papua New Guinea.⁷

Air Travel Statistics

With travel, it’s often a matter of when, not if, the unexpected happens. For any upcoming trips, it’s best to prepare in advance for potential delays, disruptions and cancellations.

In 2023, 21.8% of all flights were disrupted, with the majority of those delays, cancellations, and diverted flights happening in June, July, and August.²

Of the 6.85 million flight operations last year, airlines experienced the following disruptions²:

• 1.39 million delayed flights (20.3% of flights)
• 87,943 canceled flights (1.3% of flights)
• 16,552 diverted flights (0.2% of flights)

Top Concerns for Travelers

Even amidst the excitement of an upcoming vacation, travelers can’t help but think about what could go wrong.

For travelers who purchased travel insurance in 2024, these were the most important benefits⁴:

• Emergency medical (28.2%)
• Medical evacuation (19.6%)
• Trip cancellation (18.1%)
• Trip interruption (12.5%)
• Travel delay (8.5%)

Among those same travelers, their top concerns for travel include⁴:

• A medical emergency during a trip (59.8%)
• Needing to cancel a trip for an unforeseen reason (31.2%)
• Lengthy travel delays (5.7%)
• Lost or delayed luggage (3.3%)

How Much Does Travel Insurance Cost?

Travel insurance covers a range of risks and can be a small price to pay compared to how much you spend on airfare, hotels and other travel expenses.

Your age, the total cost of the trip and how much coverage you choose can affect the price of your travel insurance coverage. But if you do your research, you’ll find a variety of coverage, including travel insurance for seniors and affordable travel insurance.

Here are some facts about travel insurance:

• The average cost of travel insurance is 5% to 6% of your trip costs, according to a Forbes Advisor analysis of travel insurance rates.⁵
• For a $5,000 trip, the average travel insurance cost is $228. Rates can range from $154 for a basic policy up to $437 for a policy with generous coverage.⁵
• The total cost of your trip has a significant impact on the price of travel insurance. For example, the average cost of travel insurance is only $61 for a $1,000 trip but over $1,200 for a $20,000 trip.⁵
• Travel insurance cost also varies greatly depending on the policy’s level of benefits. In our review of travel insurance plans for a $2,500 trip, we found the average cost to be $120 but observed rates ranging from $76 for a basic policy to $240 for a policy with more perks and protections.⁵

• Age also affects travel insurance rates, especially for those age 60 and older.⁵
• Our analysis reveals the average travel insurance cost for someone age 80 is $683 more than the average cost for a 20-year-old.⁵
• For a 60-year-old traveler, average rates range from $270 for a basic policy to $724 for a plan with more generous benefits.⁵
• Seniors planning a trip need to budget an average of 8% to 18% of their trip cost to cover a senior travel insurance policy.⁵

Travel Insurance Cost for the Top Travel Destinations

In 2024, domestic trips are the most popular for American travelers, followed by trips to Mexico, Italy, the United Kingdom and Japan, according to a Forbes Advisor analysis of 13,728 travel insurance sales.⁴

The average travel insurance premium for trips purchased in 2024 is $273.79, with an average trip cost of $4,718.53.⁴

The Worst Cities for Summer Travel

Since domestic travel is high on the list for many American travelers, a Forbes Advisor analysis found the best and worst cities for summer travel based on three key categories: city experience, driving experience and air travel experience.

The factors considered under each metric are as follows:

• City experience:
  • Crime rate
  • Median hotel price during the summer travel season
  • Median cost of tours and activities
  • Average price of a two-person meal
  • Average number of extreme temperature days in June, July and August
  • Number of tourist attractions with four or more stars on Tripadvisor
  • Number of restaurants with four or more stars on Tripadvisor
  • Walk score
  • Transit score
• Driving experience:
  • Number of people involved in fatal crashes between June and August per 100,000 residents
  • Average gas prices
  • Number of parking lots and parking garages per 100,000 residents (metro area-level)
  • Average speed in rush hour traffic
• Air travel experience:
  • Percentage of flights delayed, canceled or diverted
  • Number of property loss and damage claims per 100,000 domestic passengers
  • Percentage of property loss and damage claims reimbursed in full

According to our analysis, Jacksonville, Florida, is the worst city for summer travel, while Minneapolis, Minnesota ranks as the best city for summer travel.⁶

Other key findings:

• In addition to Jacksonville, two other Florida cities rank among the top 10 worst cities for summer travel: Tampa and Miami.⁶
• Four California cities rank among the top 15 best cities for summer travel: Long Beach, San Diego, San Francisco and Los Angeles.⁶
• During the summer travel season, visitors to Jacksonville tend to have the worst city experience, visitors to Colorado Springs typically have the worst air travel experience and visitors to Louisville typically face the worst driving experience.⁶

The Most Dangerous Places To Visit

According to an analysis conducted by Numbeo, the top 10 most dangerous cities in the world to visit are⁷:

1. Caracas, Venezuela
2. Pretoria, South Africa
3. Durban, South Africa
4. Johannesburg, South Africa
5. Port Moresby, Papua New Guinea
6. San Pedro Sula, Honduras
7. Rio de Janeiro, Brazil
8. Port Elizabeth, South Africa
9. Fortaleza, Brazil
10. Salvador, Brazil

Travel Health Risks

Based on an analysis from The Economist, the top five cities in the world that pose the greatest health risk for travelers are⁸:

1. Caracas, Venezuela
2. Lagos, Nigeria
3. Yangon, Myanmar
4. Cairo, Egypt
5. Baku, Azerbaijan.

The Economist’s report analyzed cities across dozens of indicators in categories including digital, health, infrastructure, personal and environmental security. “Health risk” is defined as the level and quality of healthcare services and infrastructure in a city.

Sources

1. Forbes Advisor: 2024 Vs. 2023 Travel Trends: 40% Of Americans Plan To Travel More This Year
2. Bureau of Transportation Statistics
3. US Travel Insurance Association
4. SquareMouth
5. Forbes Advisor: Average Cost Of Travel Insurance 2024
6. Forbes Advisor: The Worst Cities For Summer Travel, Ranked
7. Numbeo
8. The Economist: Safe Cities Index

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